Verra has engaged global insurance intermediary Howden to evaluate whether insurance products meet its criteria for credits intended for use under the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA), a programme of the International Civil Aviation Organization (ICAO).
Howden will assess insurance offerings against Verra’s requirements to determine their suitability in mitigating the risk of double claiming — where both an airline operator and a host country claim the same mitigation outcomes represented by Verified Carbon Units (VCUs).
The move follows Verra’s release of its CORSIA insurance criteria and marks a further step in operationalising its eligibility pathway for VCUs issued from 2021 onwards. Howden is also conducting a similar review for Gold Standard, creating what Verra describes as a “unique opportunity to drive greater standardisation” between the world’s two largest independent greenhouse gas crediting programmes.
Under Verra’s rules, VCUs from 2021 onwards seeking a CORSIA-eligible label must come from approved project types and carry an Article 6 label, indicating host country authorisation under the Paris Agreement. This ensures the host country makes a corresponding adjustment when accounting for its climate targets, preventing the credits from being claimed both under the Paris Agreement and CORSIA.
To qualify, VCUs must show either:
- A completed corresponding adjustment, or
- A signed CORSIA Accounting Representation from an entity committing to compensate for any credits affected by double claiming, backed by a certificate of insurance for a Verra-approved product.
Approved insurance products will be listed on Verra’s website to guide market participants in bringing credits to market.
“In this time of climate urgency, we are committed to ensuring that carbon markets deliver real, verifiable impact while providing the highest levels of transparency and integrity,” said Verra CEO Mandy Rambharos. “By engaging Howden, we are taking an important step toward supporting this market through the operationalisation of CORSIA labels, providing additional assurance to both project developers and buyers. CORSIA is a critical market that helps mitigate the immense climate impact from international aviation.”
Charlie Pool, head of carbon markets, climate risk and resilience at Howden, added: “Ensuring confidence at scale is the next frontier for carbon markets. By applying robust insurance standards to address the risk of double claiming, we’re not only building trust and accountability — we’re also unlocking the flow of capital needed to accelerate climate action. Our collaboration with Verra demonstrates how insurance can be a foundational tool for scaling carbon finance.”
Verra said the final insurance criteria, along with the CORSIA Accounting Representation template and a list of eligible policies, will be published later this year. It has encouraged insurance providers to submit products for review via Howden’s dedicated process.
